Assertio Therapeutics Announces Sale of Gralise® for Total Transaction Value of $127.5 Million
12 December 2019 - 11:50PM
Assertio Therapeutics, Inc. (“Assertio”) (NASDAQ: ASRT), today
announced it has entered into an agreement with Alvogen, a global
privately held pharmaceutical company, under which Alvogen will
acquire and assume all responsibilities associated with the product
Gralise® (gabapentin). The agreement is expected to close in early
January 2020, subject to regulatory approval.
Under the terms of the agreement, Alvogen will pay Assertio a
total value of $127.5 million. This includes $75 million in cash
upon closing and the balance payable in the form of a royalty on
the first $70 million in Gralise® net sales. Both companies
expect the majority of the royalties to be paid in the first
calendar year.
“This transaction continues the transformation of Assertio,
allows us to focus on our growth products, CAMBIA® and Zipsor®,
strengthens our balance sheet, and increases our flexibility for
future business development opportunities,” said Arthur Higgins,
President and Chief Executive Officer of Assertio.
The Company will provide an update on the financial impact of
the sale of Gralise® following the close of the transaction.
About Gralise®Gralise® is a prescription
medicine used to treat pain after shingles, or postherpetic
neuralgia (PHN).
About Assertio Therapeutics, Inc. Assertio
Therapeutics is committed to providing responsible solutions to
advance patient care in the Company’s core areas of neurology,
orphan and specialty medicines. Assertio currently markets three
FDA-approved products and continues to identify, license and
develop new products that offer enhanced options for patients that
may be underserved by existing therapies. To learn more about
Assertio, visit www.assertiotx.com.
About AlvogenAlvogen is a
global, privately owned pharmaceutical company focused on
developing, manufacturing and selling generic, brand,
over-the-counter medicines (OTC) and biosimilar products for
patients around the world. The company has commercial operations in
35 countries with 2,800 employees and operates four manufacturing
and development hubs in the U.S., Romania, Korea and Taiwan. North
America is Alvogen’s single largest market and other key markets
include: South Korea, Russia, Taiwan, Romania, Hungary, Ukraine,
Japan and China.
To learn more about Alvogen, visit
www.alvogen.com.
"Safe Harbor" Statement under the Private Securities
Litigation Reform Act of 1995 This news release contains
forward-looking statements. These statements involve inherent risks
and uncertainties that could cause actual results to differ
materially from those projected or anticipated, including risks
related to regulatory approval and clinical development of
long-acting cosyntropin, expectations regarding potential business
opportunities and other risks outlined in the Company's public
filings with the Securities and Exchange Commission, including the
Company's most recent annual report on Form 10-K and subsequent
Quarterly Reports on Form 10-Q. All information provided in this
news release speaks as of the date hereof. Except as otherwise
required by law, the Company undertakes no obligation to update or
revise its forward-looking statements.
Investor and Media Contact: John B. Thomas SVP,
Investor Relations and Corporate Communications
jthomas@assertiotx.com
Source: Assertio Therapeutics, Inc.
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